Thursday, May 08, 2014

Sector Money Flow and Other Trading Perspectives and Resources

* Money flow, sector by sector, is measured by multiplying ETF price by the number of ETF shares outstanding and tracking over time. Since the start of the year, money has flown out of SPY. The consumer discretionary sector has seen the greatest percentage outflows; the utilities sector the greatest inflows, followed by the two commodity-related sectors. Sector rotation has dominated the year to date, with small caps and NASDAQ shares recently underperforming large caps and yield-related sectors (consumer staples, utilities) recently outperforming growth sectors (technology, consumer discretionary).

About Me

Author of The Psychology of Trading (Wiley, 2003), Enhancing Trader Performance (Wiley, 2006), and The Daily Trading Coach (Wiley, 2009) with an interest in using historical patterns in markets to find a trading edge. I am also interested in performance enhancement among traders, drawing upon research from expert performers in various fields. I took a leave from blogging starting May, 2010 due to my role at a global macro hedge fund. Blogging resumed in February, 2014, along with regular posting to Twitter and StockTwits (@steenbab).